Transparency Capital has launched a new platform which is aiming to provide private investors with access to major European private equity fund managers for just EUR150,000.
The concept of Transparency Capital SCA is to pool private investors’ demand by means of a bond issue in order to attain the minimum investment threshold required by the private equity funds. These private investors can then have access to the performances of the best funds. Furthermore, Transparency Capital charges annual management fees of only 0.7 per cent, thus allowing the subscriber to benefit from practically all the performance of the fund selected.
With its first bond issue Transparency Capital will introduce its major innovation in the market by offering to qualified investors a bond with a nominal amount of EUR150,000, listed on the Euro MTF of the Luxembourg Stock Exchange and paying subscribers a variable rate of interest. In this way Transparency Capital offers a flexible and efficient vehicle for investing in private equity to a client group whose demand had not so far been addressed.
For its first bond issue, which will take place at the beginning of June 2018, the platform has selected an active investor fund which has adopted a distinctive hybrid strategy and positioning: it invests exclusively in listed European companies, with a typical private equity approach, taking substantial stakes in listed companies and working with the management to create long term value.
In order to ensure the success of this first issue, Transparency Capital has set a minimum aggregate commitment amount of EUR60 million, while targeting a total commitment of EUR202 million.
“Our objective is to offer real private equity investment solutions to private investors and family offices, a client group for whom the range of investments on offer has been inadequate until now,” says Matthieu Cicurel, CEO of Transparency Capital.
Qualified investors wishing to subscribe the bonds have until 7 June 2018 to declare their interest. The bonds will be issued at par and listed on the Euro MTF market of the Luxembourg Stock Exchange.